Stiglitz For President of Planet Earth!

July 26, 2012

The following is a note that publishes the weekly on a recent statement by Joseph Stiglitz against Wall Street and banks. Of course I endorse everything that says the baron, but would add only one comment: “A little thought Stiglitz could be different Are you really so innocent “. The day we have elections to vote for president of Planet Earth, I vote for Stiglitz (with Paul Krugman for Vice President and Gerardo Esquivel of Senator). Will the note: The bankers have not expressed “minimal gratitude” to grants received from the contributors, without whom today would not exist, said in annoyed tone Joseph Stiglitz, Nobel laureate in economics.Why, asks the laureate in economics, have spent so much money Presidents George W. Bush and Barack Obama to help banks and so little to assist homeowners This would have helped first the citizens not to lose their homes, have slowed the decline in real estate prices and would have protected the banks pass on the root cause of their problems: the sharp depreciation of securities backed by those mortgages residential. “The current crisis has seen how governments assumed a new role: asumidor risk of last resort. When private markets were on the verge of bankruptcy, all risk is transferred to the government,” Stiglitz criticizes. “The safety net should be there to protect individuals, but extended to corporations in the belief that the consequences of not doing so would be horrible.Once extended, it will be difficult to withdraw now, “the Nobel. “Companies know that if sufficiently large and their eventual bankruptcy constitutes a sufficient threat to the economy, or if they have enough political clout, the government will take the risk of eventual bankruptcy,” said Stiglitz. According to the economic adviser to former President Bill Clinton, the banks try actually “putting the tip of a gun against our temples” to tell us that unless we keep them in the conditions they set, “they will kill the entire economy.” Stiglitz argues that it has always been “skeptical of the idea that the market is someone you can argue that this is an intelligent, rational, well-meaning: it is a fantasy.” “We know the market is subject to irrational optimism and pessimism, and is vindictive.If you suffer an attack, not try to pacify him, but the key is to know if you can break your spine. ” Stiglitz says he is furious on behalf of the 170 million people estimated to have lost their jobs worldwide because of the crisis and regular contributors, who are asked to pay more taxes now, who postpone their retirement age and that can withstand worst government services by the greed of the bankers.